Lisa Grubb CPA

01/16/2023

2022 federal income tax brackets
(for taxes due in April 2023)

Single filers
Tax rate

Taxable income bracket

Tax owed

10%

$0 to $10,275.

10% of taxable income.

12%

$10,276 to $41,775.

$1,027.50 plus 12% of the amount over $10,275.

22%

$41,776 to $89,075.

$4,807.50 plus 22% of the amount over $41,775.

24%

$89,076 to $170,050.

$15,213.50 plus 24% of the amount over $89,075.

32%

$170,051 to $215,950.

$34,647.50 plus 32% of the amount over $170,050.

35%

$215,951 to $539,900.

$49,335.50 plus 35% of the amount over $215,950.

37%

$539,901 or more.

$162,718 plus 37% of the amount over $539,900.

Married, filing jointly
Tax rate

Taxable income bracket

Taxes owed

10%

$0 to $20,550.

10% of taxable income.

12%

$20,551 to $83,550.

$2,055 plus 12% of the amount over $20,550.

22%

$83,551 to $178,150.

$9,615 plus 22% of the amount over $83,550.

24%

$178,151 to $340,100.

$30,427 plus 24% of the amount over $178,150.

32%

$340,101 to $431,900.

$69,295 plus 32% of the amount over $340,100.

35%

$431,901 to $647,850.

$98,671 plus 35% of the amount over $431,900.

37%

$647,851 or more.

$174,253.50 plus 37% of the amount over $647,850.

Married, filing separately
Tax rate

Taxable income bracket

Taxes owed

10%

$0 to $10,275.

10% of taxable income.

12%

$10,276 to $41,775.

$1,027.50 plus 12% of the amount over $10,275.

22%

$41,776 to $89,075.

$4,807.50 plus 22% of the amount over $41,775.

24%

$89,076 to $170,050.

$15,213.50 plus 24% of the amount over $89,075.

32%

$170,051 to $215,950.

$34,647.50 plus 32% of the amount over $170,050.

35%

$215,951 to $323,925.

$49,335.50 plus 35% of the amount over $215,950.

37%

$323,926 or more.

$87,126.75 plus 37% of the amount over $323,925.

Head of household
Tax rate

Taxable income bracket

Tax owed

10%

$0 to $14,650.

10% of taxable income.

12%

$14,651 to $55,900.

$1,465 plus 12% of the amount over $14,650.

22%

$55,901 to $89,050.

$6,415 plus 22% of the amount over $55,900.

24%

$89,051 to $170,050.

$13,708 plus 24% of the amount over $89,050.

32%

$170,051 to $215,950.

$33,148 plus 32% of the amount over $170,050.

35%

$215,951 to $539,900.

$47,836 plus 35% of the amount over $215,950.

37%

$539,901 or more.

$161,218.50 plus 37% of the amount over $539,900.

01/24/2022

How small business owners can deduct their home office from their taxes

The home office deduction allows qualified taxpayers to deduct certain home expenses when they file taxes. To claim the home office deduction on their 2021 tax return, taxpayers generally must exclusively and regularly use part of their home or a separate structure on their property as their primary place of business.

Here are some details about this deduction to help taxpayers determine if they can claim it:

Employees are not eligible to claim the home office deduction.

The home office deduction, calculated on Form 8829, is available to both homeowners and renters.

There are certain expenses taxpayers can deduct. These may include mortgage interest, insurance, utilities, repairs, maintenance, depreciation and rent.

Taxpayers must meet specific requirements to claim home expenses as a deduction. Even then, the deductible amount of these types of expenses may be limited.

The term "home" for purposes of this deduction:
Includes a house, apartment, condominium, mobile home, boat or similar property.
Also includes structures on the property. These are places like an unattached garage, studio, barn or greenhouse.
Doesn't include any part of the taxpayer's property used exclusively as a hotel, motel, inn or similar business.

Generally, there are two basic requirements for the taxpayer's home to qualify as a deduction:
There generally must be exclusive use of a portion of the home for conducting business on a regular basis. For example, a taxpayer who uses an extra room to run their business can take a home office deduction only for that extra room so long as it is used both regularly and exclusively in the business.
The home must generally be the taxpayer's principal place of business. A taxpayer can also meet this requirement if administrative or management activities are conducted at the home and there is no other location to perform these duties. Therefore, someone who conducts business outside of their home but also uses their home to conduct business may still qualify for a home office deduction.

Expenses that relate to a separate structure not attached to the home may qualify for a home office deduction. They will qualify only if the structure is used exclusively and regularly for business.

Taxpayers who qualify may choose one of two methods to calculate their home office expense deduction:
The simplified option has a rate of $5 a square foot for business use of the home. The maximum size for this option is 300 square feet. The maximum deduction under this method is $1,500.
When using the regular method, deductions for a home office are based on the percentage of the home devoted to business use. Taxpayers who use a whole room or part of a room for conducting their business need to figure out the percentage of the home used for business activities to deduct indirect expenses. Direct expenses are deducted in full

01/23/2022

It’s almost that time again. We can file your returns beginning tomorrow! Give me a call to set up an appointment at 414.640-0227. I am on the process of sending out tax organizers.

01/04/2022

Bahaha

07/24/2021

There is still time to apply for an eidl[economoi income disaster loan). Call me for assistance

01/11/2021

It’s almost that time again. Give me a call and we can set up an appointment to get your 2020 taxes done!

07/05/2020

Deadline for estimated tax payments postponed until Wednesday, July 15

As part of its response to COVID-19, the IRS has postponed several tax deadlines until Wednesday, July 15, 2020. These postponements generally apply to all taxpayers with a filing or payment deadline between April 1 and July 15, 2020.

This relief includes individual and corporate quarterly estimated tax payments. Any taxpayer making payments received by July 15, 2020 will not be charged late-filing, late-payment or interest fees.

What taxpayers need to know

The due date for filing estimated tax forms and paying estimated taxes has been automatically postponed to July 15, 2020.
Taxpayers who still owe 2019 income tax, as well as estimated tax for 2020, must make two separate payments on or by July 15, 2020: One for their 2019 income tax owed and one for their 2020 estimated tax payments. The two estimated tax payments can be combined into a single payment. The IRS offers several convenient ways to make electronic tax payments.
Taxpayers do not need contact the IRS or file any forms to receive this relief.
This relief applies to individuals, trusts, estates, corporations and other non-corporate tax filers.
Taxpayers needing more time to file their return should request an extension by July 15, 2020. A taxpayer’s requests for an extension to file gives them until October 15, 2020 to file. Exceptions may apply for military personnel serving overseas.

For example, a Form 7004, Application for Automatic Extension of Time to File Certain Business Income Tax, Information and Other Returns, would normally provide an additional six-month extension until October 15, 2020. However, this year, a Form 7004 filed by July 15, 2020, will extend the time to file by three months, not six. The extended filing deadline is still October 15, 2020.

The tax filing deadline has been postponed to Wednesday, July 15, 2020. The IRS is processing tax returns, issuing refunds and accepting payments. Taxpayers who mailed a tax return will experience a longer wait. There is no need to mail a second tax return or call the IRS.

More information:
Coronavirus Tax Relief: Filing and Payment Deadlines
IRS extends more tax deadlines
Extension of Time to File Your Tax Return

Share this tip on social media -- : Deadline for estimated tax payments postponed until Wednesday, July 15.

Consejo Tributario de Coronavirus 2020-79SP, 2 de julio de 2020

03/26/2020

On Wednesday, the Senate passed a historic $2 trillion economic stimulus package. Never has so much money been plucked from the coffers of the Fed and pumped into the veins of the American free market. And while big businesses are seeing a lot of the big bucks, many are wondering, what’s in it for the little guys?

Federal funds are vital for small businesses, which were—and will continue to be—hit hard by the coronavirus pandemic. Most already operated with razor-thin margins, so the COVID-19 economic disruption has plunged them deep underwater.

The stimulus bill’s primary item for small business aid is a $349 billion loan program: Under this “Paycheck Protection Program,” the Small Business Administration will distribute $349 billion to entities that apply and are approved.

If you’re looking to take part, here’s what you need to know:

Who can apply? Businesses and nonprofits with 500 or fewer employees are generally eligible for the loans. But the loans aren’t restricted to companies: Self-employed workers and gig workers, such as drivers for ride-share apps, also qualify. Qualified borrowers must have been in business before February 15, and must have paid employee salaries and payroll taxes or contractors.
How much? Businesses can receive loans up to $10 million at up to 4% interest rates, depending on how much they paid their employees between January 1 and February 29.
Who’s handling this? Loans will be provided through banks, credit unions, and other lenders, and will be guaranteed by the Small Business Administration. Loan applications should be submitted through lenders who are partnered with the Small Business Administration.
How long with it take? The loan process could become a same-day process as early as next week, in which case loans would be signed and disbursed within 24 hours.
What’s the catch? The program is called “Paycheck Protection Program” because it’s meant to ensure that businesses have the funds to pay their employees and to prevent layoffs. Loans offered through the program are forgivable, if used for their intended purpose: As long as a business receiving a loan maintains the average size of its workforce, it will only need to pay back the interest accrued, and the principal will effectively become a grant.
With the stimulus package having passed the Senate, the House is expected to vote on it tomorrow.

Update: Thursday, 4:30 p.m. ET:

10/01/2019

Hello All,
It's never too early to start thinking about your taxes. There is time to have your information reviewed and come up with some tax savings strategies for this year. Give me a call!